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Why is Google so Valuable? Ever thought about why Google is worth more than a hundred billion bucks? Or a single click from Google could go for as large as $50? The reason is that targeting offered by search engine advertising. How Most Promotion is Broken - Most advertisements attempt to club you more than the head and beat one into submission. Look how ugly the first on-line web banner was From there, things just got worse. Banners that bounce around in a fashion that is jarring, banners that play audio, banners that attempt for you to punch the monkey. Anything for attention. ANYTHING. It got so bad that individuals had competitions to see who might make the most annoying web banner. - With the advertisements being so annoying and insignificant, people are trained to ignore banners, creating banner blindness. Marketers responded to low involvement by making banners more annoying.thus making a tragedy of the commons where on-line web banners seem like the next image. They could also be hidden behind a tree. Even big ad agencies advocate installing it! : RRB- - Hunt is Different - Compare all of that annoying stuff with the applicable ads that earn Google over $50, 000,000, 000 annually! - Search engine promotion is a completely different kind of promotion because rather than attempting to divert & frighten users, searchers request to see results applicable to their interests. Advertisers just bid to show up where they're relevant - when they're irrelevant. Their commitment to relevance builds the user's trust in the search results page. The user sees the advertisements and clicks them because they're applicable to their wants, needs, and goals. Consequently, the user focuses heavily right on the top of the search results page, as shown in eye tracking studies. 2 Approaches to Marketing - Ads on web sites with no targeting may have little to no value. Hunt traffic, that is laser targeted, is worth more than 30x as much. - For display advertising, Credit Suisse estimated that in the year 2009 the average Cost per mille would be $2.39, down from $2.46 in 2008. As for paid search, JPMorgan suggested that for every 1, 000 searches, $75.33 will be generated from advertisements in the year 2009.